Week in Review: BrightRoll and Nielsen Find Mobile Boosts TV Reach, Mondelez to Boost Video Spend, Clubcard TV and Blinkbox Could Close

Here’s what happened this week in video advertising. For a weekly summary of industry news and other VAN interviews and videos, sign up to the weekly Video Round-Up.

BrightRoll and Nielsen Research Finds Mobile Video Complements TV

BrightRoll, a programmatic ad platform, commissioned Nielsen to look at the relationship between TV and mobile video advertising. The study found that a marketer’s reach for a desired target consumer may rise as much as 12.7 percent (in the CPG vertical) when TV advertising was used with mobile video ads. The study also found that reallocating 15 percent of a brand’s TV budget to mobile, reduces the cost per target rating point (TRP)* by as much as 13.7 percent.

Reach Using Mobile

In the US, Nielsen estimates that for marketing campaigns to capture more than 60 percent of its target audience, brands typically spend more than $707,000 per reach point (i.e., cost per point).

However, it becomes considerably more expensive once brands have have reached 70 percent of consumers, costing on average $1,389,000 or more to acquire one incremental reach point after 70 percent of consumers. Nielsen say this dramatic increase in incremental cost per point indicates that marketers often hit a point of diminishing returns once they hit the 60 and 70 percent thresholds.

Tesco to Pull the Shutters Down on Clubcard TV and Might Offload Blinkbox

Tesco is reportedly trying to offload its Blinkbox streaming service, and Clubcard TV, the ad-funded online video service will be closed down, according to The Guardian. It seems likely that Clubcard TV met its fate a little earlier than some might have expected because of Tesco’s wider malaise. The company has seen its worst sales decline in 20 years as discount retailers have eaten away at its market share, while the company also recently reported a £250 million black hole in their accounts.

On paper, Clubcard TV had great potential, even if the choice of name was never the sexiest of media brands. Insiders told VAN that buyers were lining up to buy from them, keen to use Tesco’s data for targeting video campaigns. However, they also said that Dunnhumby were slow to share their data, plus (in spite of the fact that Clubcard TV had some reasonably impressive shows at launch) the content on offer was poor and never looked capable of competing with the online offerings from broadcasters and the more mainstream online platforms.

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YuMe and IPG

YuMe and IPG launched their latest joint research, looking at ‘attentiveness and receptivity’. YuMe and IPG Media Lab explored how to reach audiences when they are most receptive and attentive, to determine whether attention matters in digital video advertising. The study showed that context plays a key role in the pursuit of attention, and indicators such as device and location influence the degree of openness and engagement with advertising content.  This companies hope the findings will lead to a viable brand advertising methodology in the near future.

“Since the media industry is highly-fragmented, it is difficult to know when consumers are actually paying attention to ads,” says Brian Marx, Digital Marketing Manager, Truvia® natural sweetener. “YuMe and IPG Media Lab’s research shows the valuable impact high consumer attention has on brand metrics. If we could reach audiences when they are most attentive, those impressions would be of greater value.”

The companies define the concepts as:

  • Receptivity is defined as a passive state of mind that exists before exposure to an ad
  • Attention is defined as an active behavior of noticing an ad

Some of the key findings included:

  • Context is key to predicting a consumer’s level of receptivity and attention to digital advertising
  • Receptivity and attention are drivers of brand performance
  • Advertisers should think beyond the lean-back at home mode as being the only optimal context for reaching attentive audiences
  • There are a number of actionable ‘sweet spots’ for reaching attentive audiences

Kantar and Twitter Launched their Social TV Ratings

Kantar Media, an independent audience research company, and Twitter have launched their TV ratings, providing an in-depth look at Twitter’s impact on TV.

Read Full Story on VAN

Mondelez Committed to Shifting 10 Percent of Ad Spend to Online Video

Mondelez International, a manufacturer of chocolate, biscuits, gum and candy, announced that the company has committed to shifting 10 percent of its ad budgets to online video in 2014. The commitment was mad as the company announced a new deal with Google, which will see Mondelez

Bonin Bough, vice president of global media and consumer engagement at Mondelez, said: “We believe video will be a key growth driver for our brands, and programmatic buying will play an important role in accelerating that growth.

“This new agreement is our largest in digital media so far, further solidifying our position as a digital pioneer. It showcases a cutting-edge approach to video that will make media buying, creative production, data and analytics work together in real time and at a fraction of the cost.”

Ad of the Week, Toyota Hilux, ‘Unbreakable Drivers’, Saatchi & Saatchi Sydney

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